Section 5. Harmonious Coexistence with Society

4. Sustainability Initiatives

In July 2021, Daibiru formulated the group’s materiality policies (issues of material importance) for the purpose of promoting sustainability. The following materiality issues were formulated through the process of (1) identifying materiality-related items, (2) evaluating importance, (3) evaluating appropriateness, and (4) determining materiality.

1. Materiality: Items of material importance related to providing value to society (or reducing damage to social capital)
   
   1. Providing office space that is ideal for accommodating changing trends
   2. Development that is community-based and occurs in tandem with the community
   3. Future-oriented environmentally-friendly buildings
2. Foundation for advancement: Items of material importance related to the strengthening of a foundation that provides value
   
   1. Improving the capabilities of personnel and organizations
   2. Accumulating intellectual capital as the foundation for high-quality services
   3. Creating value through collaborative creation with stakeholders
   4. Corporate governance evolution that enables sustainable increases in corporate value

Daibiru has been steadily implementing these materiality policies while promoting sustainability.

KPIs (key performance indicators) were established for each materiality item in fiscal 2022. These KPIs are generally limited to Daibiru and all buildings owned by Daibiru within Japan out of consideration for feasibility and internal adoption, but going forward, we will consider expanding them to include buildings owned by Daibiru outside Japan, and we aim to achieve group-wide sustainable growth by setting concrete quantitative targets and formulating action plans for achieving those targets.